ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Net profit is the amount of money your business earns after deducting all operating, interest, and tax expenses over a given period of time.

Detailed explanation-2: -Net profit (also called net income or net earnings) is the value that remains after all expenses, including interest and taxes, have been deducted from revenue. This is the final figure located at the bottom of the income statement.

Detailed explanation-3: -Net financial expense after tax [NFEAT] = Net financial expense-Tax shield due to net financial expense. 11.1. This is what the net income would be if the firm had no financial assets and financial liabilities. This is why it is called pre-financing or unlevered net income.

Detailed explanation-4: -Net income refers to the amount an individual or business makes after deducting costs, allowances and taxes. In commerce, net income is what the business has left over after all expenses, including salary and wages, cost of goods or raw material and taxes.